No red flag at all. Standard business deduction to induce businessses to invest in more modern equipment that depreciates more rapidly than the standard deduciton allows.
My accountant acutally reached out to me to show me how replacing my older X with a new one would offset some of my one time income items. Wiped them out cleanly and effectively.
Everybody has a different circumstance, so always check it out before making your purchase. Some strategies can be helpful to optimize your legal deductions.
This is similar to how household vehicles need all sorts of safety and fuel economy standards met, but for larger vehicles like trucks (Model X is considered a SUV Truck due to GVW over 6,000 lbs). need less safety and emissions controls. That is one of the reasons the most popular vehicle sold today in USA is not a fuel efficient family car, but a big, hunkin' Ford F-150 Pickup Truck.
Just gotta follow the rules and only take the deductions if they are valid. Do not lie to IRS. Follow the instructions of your legitimate tax advisor.
The combination for me getting a good price for my old used X, the reductions in pricing for a Raven Model X and some one time income items made it a perfect storm for me.
Net costs for my X's were far less than if I had bought base model 3's.
PS. My profitable business still paid lots of taxes. Also paid for lots of SS and Unemployment fees for self and employees. Just mitigated a bunch of them by driving a tax advantaged X over some other non advantaged vehicle.